Saunalahti Eyes Flash-OFDM

ESPOO, Finland -- Saunalahti Group Oyj’s Board of Directors has decided to release a plan regarding the start-up of construction of a mobile broadband network covering sparsely populated areas in Finland during 2005, if the Ministry of Transport and Communications grants the company a licence for the use of the available frequency. The network investment is estimated to amount to approximately EUR 30 million in total during 2005-2007.

As the first operator in Finland, Saunalahti starts construction of Flash-OFDM technology-based network from sparsely populated areas towards urban areas. Previously, the practise of the operators has been that the building of a network progresses from urban areas to the countryside. As a Finnish listed company, Saunalahti believes that the project and its fast progress are particularly important for the inhabitants and companies in these sparsely populated areas.

During the first year, it is estimated that there would be over 200 base stations in the new mobile network in such areas where it would not otherwise be possible to obtain broadband services. One base station can cover an area of even over 30 kilometres, so the coverage area increases rapidly. The company estimates that the new broadband network will provide versatile services for even 150,000 users in the future.

“According to the lively discussions in the provincial newspapers, the lack of broadband services altogether and, on the other hand, the local operators’ pricing which has been experienced as expensive annoy the inhabitants of the sparsely populated areas. Saunalahti’s objective is to offer everyone wireless broadband connections clearly cheaper than before, at the so-called Helsinki price level of approximately EUR 20 per month. Currently, the monthly cost of broadband in sparsely populated areas is about EUR 35-40,” says Matti Vikkula, CEO of Saunalahti Group Oyj.

”We will offer our wireless network openly also for the use of the local operators and their customers at corresponding costs,” says Mr Vikkula.

Saunalahti Group Oyj